System and method for investing public deposits

ABSTRACT

A method, system and program product for operating an exchange method for municipal and/or state funds from banking institutions, comprising: (A) accessing, by one or more computers, one or more electronic databases holding data on client transaction accounts and funds in aggregated accounts and banking institutions holding Federal government securities; (B) obtaining transaction data for clients&#39; deposits/transfers to and withdrawals/transfers from a plurality of said client transaction accounts; (C) generating instructions, to deposit/transfer funds to or withdraw/transfer funds from one or more of the aggregated accounts to satisfy the clients&#39; deposits/transfers to and withdrawals/transfers from a plurality of said client transaction accounts; (D) receiving data, for a first deposit from a first one of the banking institutions, where the first deposit comprises municipal funds and/or state funds; (E) selecting, at least another of the banking institutions holding government securities to receive at least a portion of the first deposit of municipal funds and/or state funds; (F) selecting, a plurality of client transaction accounts from one or more of the other banking institutions for the transfer of funds to the first banking institution; (G) generating instructions to deposit/transfer funds from the plurality of the client transaction accounts selected to the first banking institution; (H) updating the electronic databases.

RELATED APPLICATION

The present application is a continuation-in-part of U.S. patent application Ser. No. 10/382,946, filed on Mar. 6, 2003, which is hereby incorporated by reference as if fully set forth herein.

FIELD OF THE INVENTION

The present invention generally relates to a system and method for investing public deposits from federal, state or municipal entities.

BACKGROUND OF THE INVENTION

Banks and local banks in particular, operate by accepting deposits on which they pay out one rate of interest, and use those deposits to make investment or loans which earn a higher rate of return. Thus, for example, FIG. 1 illustrates a bank 10, which receives deposits from a plurality of customers C1 through Cn. Typically, these customers would be paid a going rate of interest, e.g., 5%. The funds deposited by these customers are in turn used by the bank 10 to make loans to borrowers B1 through Bo, at a higher rate, e.g., 7%. Thus, the bank will realize a profit on the spread between the loaning rate, e.g., 7% in this example, and the deposit rate, e.g., 5% in this example.

Banks often are obliged by statute, practice or sense of community to accept public deposits from federal, state or municipal entities. To comply with applicable bank regulatory requirements, public deposits of federal, state or municipal entities (e.g., municipality 12) often must be federally insured or, alternatively, “collateralized” by having banks pledge government securities 14 (e.g., U.S. Treasury or U.S. Agency obligations) to secure public deposits in the event of the institution's failure. Public deposits may be for any amounts. The interest rates that such a bank 10 typically pays for such public deposits are generally higher than the rates of interest it pays its other customers, e.g., C1 through Cn. However, the interest earned on government securities 14 typically do not provide an interest spread as do commercial and consumer loans to borrowers B1 though Bo over the banks cost of deposits.

Thus, what is needed is a method and system by which banks can earn greater returns on their investment of public deposits.

SUMMARY OF THE INVENTION

It has now been found that the higher spreads and related objects of the present invention can be obtained through a method for investing public deposits according to an exemplary embodiment of the present invention comprising: receiving one or more first deposits from each of one or more customers, where the one or more customers are public entities and the one or more first deposits are required to be federally insured or collateralized by government securities; transferring at least a portion of the one or more first deposits to a money center banking institution; sending first electronic signals relating to information on the at least a portion of the one or more first deposits to the money center banking institution; receiving one or more second deposits from the money center banking institution, where the one or more second deposits are covered at least in part by federal deposit insurance; receiving second electronic signals relating to information on the one or more second deposits from the money center banking institution; depositing the one or more second deposits in accounts that have at least a first rate of return; and investing the one or more second deposits in investments that have at least a second rate of return, where the second rate of return is equal to or greater than the first rate of return.

A method for investing public deposits according to another exemplary embodiment of the present invention comprises the steps of receiving one or more first deposits from a banking institution, where the one or more first deposits are from public entities and are required to be federally insured or collateralized by government securities; receiving first electronic signals relating to the one or more first deposits from the banking institution; investing the one or more first deposits in securities that are federally insured or collateralized by government securities; transferring one or more second deposits to the banking institution, where the one or more second deposits are covered at least in part by federal deposit insurance; and sending second electronic signals relating to the one or more second deposits to the banking institution.

A method for investing public deposits according to another exemplary embodiment of the present invention comprises receiving one or more first deposits from each of one or more customers, where the one or more customers are public entities and the one or more first deposits are required to be federally insured or collateralized by government securities; transferring one or more portions of the one or more first deposits to a corresponding one of one or more banking institutions, each of the one or more portions to be covered by federal deposit insurance; sending first electronic signals to each of the one or more banking institutions relating to information on the one or more portions of the one or more first deposits to the one or more banking institution; receiving a second deposit from at least one of the banking institutions, the second deposit received from the at least one banking institution being equal or lesser or greater in amount compared to the portion transferred thereto; receiving second electronic signals relating to information on the second deposit from the at least one banking institution; depositing the second deposit in one or more accounts that have at least a first rate of return; and investing or having invested the at least one second deposit in an investment that has at least a second rate of return, where the second rate of return is equal to or greater than the first rate of return.

A method for investing public deposits according to another exemplary embodiment of the present invention comprises receiving a first deposit from a banking institution, where the first deposit is a portion of funds deposited into the banking institution from a public entity required to be federally insured or collateralized by government securities; receiving first electronic signals relating to the first deposit from the banking institution; depositing the first deposit in an account that has a first rate of return and is federally insured; investing at least a portion of the first deposit in one or more investments that have a second rate of return, where the second rate of return is equal to or greater than the first rate of return; transferring a second deposit to another banking institution, the second deposit being equal or lesser or greater in amount compared to the first deposit; and sending second electronic signals relating to the second deposit to the banking institution.

A system for exchanging funds to allow for effective investment of public deposits, comprises a first deposit receipt unit for receiving one or more first deposits from each of one or more customers, where the one or more customers are public entities and the one or more first deposits are required to be federally insured or collateralized by government securities; a deposit transfer unit for transferring at least a portion of the one or more first deposits to a money center banking institution; a signal generator for generating and sending first electronic signals relating to information on the at least a portion of the one or more first deposits to the money center banking institution; a second deposit receipt unit for receiving one or more second deposits from the money center banking institution, where the one or more second deposits are covered at least in part by federal deposit insurance; and a signal receiver for receiving second electronic signals relating to information on the one or more second deposits from the money center banking institution.

A system for exchanging funds to allow for effective investment of public deposits according to another exemplary embodiment comprises a first deposit receipt unit for receiving one or more first deposits from each of one or more customers, where the one or more customers are public entities and the one or more first deposits are required to be federally insured or collateralized by government securities; a deposit transfer unit for transferring one or more portions of the one or more first deposits to a corresponding one of one or more banking institutions; a signal generator for generating and sending first electronic signals to each of the one or more banking institutions relating to information on the one or more first deposits to the one or more banking institution; a second deposit receipt unit for receiving a second deposit from at least one of the banking institutions, the second deposit received from the at least one banking institution being equal or lesser or greater in amount compared to the portion transferred thereto; and a signal receiver for receiving second electronic signals relating to information on the second deposits from the one or more banking institutions.

In a yet further embodiment of the invention, a program product is provided for exchanging funds to allow for effective investment of public deposits, comprising: at least one computer usable media having computer readable program code embodied therein or among them if there is more than one computer usable medium, to be executed by a computer, the computer readable program code comprising program code for facilitating receipt of one or more first deposits from each of one or more customers, where the one or more customers are public entities and the one or more first deposits are required to be federally insured or collateralized by government securities; program code for transferring at least a portion of the one or more first deposits to a money center banking institution; program code for causing generation and sending first electronic signals relating to information on the at least a portion of the one or more first deposits to the money center banking institution; program code for facilitating receipt of one or more second deposits from the money center banking institution, where the one or more second deposits are covered at least in part by federal deposit insurance; and program code for receiving second electronic signals relating to information on the one or more second deposits from the money center banking institution.

In a yet further embodiment, a program product is provided for exchanging funds to allow for effective investment of public deposits, comprising: at least one computer usable media having computer readable program code embodied therein or among them if there is more than one computer usable medium, to be executed by a computer, the computer readable program code comprising program code for facilitating receipt of one or more first deposits from each of one or more customers, where the one or more customers are public entities and the one or more first deposits are required to be federally insured or collateralized by government securities; program code for transferring one or more portions of the one or more first deposits to a corresponding one of one or more banking institutions; program code for causing generation and sending first electronic signals to each of the one or more banking institutions relating to information on the one or more portions of the one or more first deposits to the one or more banking institution; program code for facilitating receipt of a second deposit from at least one of the one or more banking institutions, the second deposit received from the at least one banking institution being equal or lesser or greater in amount compared to the one or more portion received thereby; and program code for receiving data from second electronic signals relating to information on the at least one second deposit from the one or more banking institutions.

These and other features of this invention are described in, or are apparent from, the following detailed description of various exemplary embodiments of this invention.

BRIEF DESCRIPTION OF THE DRAWINGS

Various exemplary embodiments of this invention will be described in detail, with reference to the following figures, wherein:

FIG. 1 is a block diagram of a prior art system for a bank;

FIG. 2 is a block diagram of an embodiment of the present invention;

FIG. 3 is a block diagram of another exemplary embodiment of the present invention;

FIG. 4 is a block diagram of another exemplary embodiment of the present invention; and

FIG. 5 is a block diagram showing a system according to an exemplary embodiment of the present invention.

DETAILED DESCRIPTION OF PREFERRED EMBODIMENTS

The present invention generally relates to a system and method of investing deposits from federal, state or municipal entities.

FIG. 2 illustrates an embodiment of the present invention. As with the prior art system illustrated in FIG. 1, bank 10, accepts deposits from customers C1 through Cn which can in turn be loaned out to borrowers B1 though Bo for a spread. Bank 10 also accepts public deposits on line 22 from, e.g., a municipality 12. In accordance with an embodiment of the present invention, all or a portion of the public deposits are, in turn, deposited electronically, by messenger, or by any other convenient method, in a money center bank 20, which has an ample investment position in government securities 14. This deposit is represented by line 24. In one embodiment, a first electronic signal is sent relating to information on the deposits transferred to the money center banking institution. This first electronic signal is also represented by line 24. A money center bank 20 is typically a larger banking institution with a larger deposit base. Typically in practice, money center banks have large inventories of government securities 14, such that if they take in additional public deposits, the purchase of additional government securities 14 will not be necessary to collateralize such deposits.

In exchange for public deposits from the bank 10 (e.g., $1 million), the money center bank 20 in turn deposits electronically, or by messenger, or by any other convenient method, an amount of total funds in return in the bank 10 that comes from customer C′1 though C′m. This deposit is represented by line 26. By way of example, this return deposit could be equal to, larger than, or a smaller amount (e.g., $750,000). This smaller amount of the funds deposited from the money banking center may be related to the amount transferred from the bank 10 by a numerical function negotiated by the banks, e.g., it could be a percentage. A second electronic signal is sent relating to information on the deposits transferred to the bank 10. This second electronic signal is also represented by line 26. In one embodiment, the deposit accounts of customers C′1-C′m are selected because they each have less in their respective accounts than the maximum amount of deposits covered by federal deposit insurance in their accounts, which is currently $100,000 per individual account. By way of example, a criterion for selecting customer accounts could be that the accounts chosen for the transfer are $98,000 or less, and in a variation of this embodiment may be required to be above some minimum amount, to allow for interest earned to be deposited to the account. Note however, that the invention is not restricted to sending back only insured deposits. For example, where the accounts at the sending and receiving banks are omnibus accounts, the second deposit back to the bank 40 could contain funds from customers that have more than $100,000 in assets. These deposits can be reinvested in loans to borrowers B1 though Bo, for a spread that makes these deposits profitable to the bank 10 unlike holding government securities to collateralize the deposits it sent to the money center bank. It should be noted that the second deposits back to the bank 10 are not necessarily from the same bank that received the first deposit from the bank 10, as will be described below in relation to an intermediary.

The deposits and transfers between the banks and larger money center banks can be tracked using a database, from which reports can be generated on a periodic basis, or whenever an exchange between the bank and the money center bank is completed. These reports may be, for example, transfer reports and deposit receipt reports, which provide information regarding the deposits and transfers, such as the deposit and transfer amounts, time and date of the deposits and transfers, etc. The reports may, in one embodiment, be sent electronically, for example, on the Web.

According to another exemplary embodiment of the present invention, banks may exchange on a one-for-one basis or on such other agreed upon terms the municipal funds they receive from a particular municipal entity, or the excess municipal funds they receive from a particular municipal entity over the maximum amount that is federally insured, e.g., $100,000, in increments that are equal to or less than the maximum amount that is federally insured. By conducting such an exchange, each of the banks can make higher margins on federally insured deposits, and does not need to invest in lower profit government securities. For example, as shown in FIG. 3, bank 40 receives $500,000 in public deposits represented by line 50 from, for example, a municipal entity. Assuming that the maximum amount that is federally insured is $100,000, the bank 40 then sends a first deposit of $100,000 or some lesser or greater amount to each of banks 42, 44, 46 and 48, electronically, by messenger, or by any other convenient method, as represented by lines 52, 54, 56, and 58, and retains the remaining $100,000 or some lesser or greater amount. It is intended that the receiving bank deposit this first deposit in a federally insured account. First electronic signals are also sent to each of the one or more banking institutions relating to information on the one or more first deposits to the one or more banking institution. Since the remaining funds are federally insured, the bank 40 can use these funds to obtain a higher profit spread by investing in, for example, individual and commercial loans. Further, since banks 42, 44, 46 and 48 receive deposits from bank 40 in amounts that can be deposited in federally insured accounts, each of the banks 42, 44, 46 and 48 can then reinvest those deposits in loans or other financial products that obtain a higher profit spread.

In return for receiving the $100,000 from bank 40, one or more of these bank 42, 44, 46 and 48 deposits electronically, by messenger, or by any other convenient method, an equal or lesser or greater (for example, a percentage) amount of funds in the bank 40. These deposits are represented by the lines 62, 64, 66, and 68. Second electronic signals relating to information on the second deposits from the one or more banking institutions 42, 44, 46, and 48 may be sent. These second electronic signals are also represented by the lines 62, 64, 66, and 68. These funds may also be municipal deposits, corporate deposits or other types of deposits which can be loaned out on competitive terms and conditions. Thus, for example each bank 42, 44, 46 and 48 can use the bank 40 as one of the banks to which it sends municipal funds to be deposited in federally insured accounts in increments equal to or less than the maximum amount that is federally insured. For example, bank 42 may receive a public deposit of $400,000, in which case bank 42 may deposit $100,000 in banks 40, 44 and 46. Similarly, bank 46, which receives a public deposit of $600,000, may deposit $100,000 in each of banks 40, 42, 48 and two other bank from which bank 44 has received funds to be deposited in federally insured accounts. Similarly, bank 48, which receives a public deposit of $800,000, may deposit $100,000 in each of banks 40, 42, 46 and four other banks from which bank 48 has received funds to be deposited in federally insured accounts. Note that in this example, bank 44 only receives a deposit from bank 40, and not from banks 42, 46 and 48, since bank 44 only deposited funds in bank 40. However, note that the invention is not limited to complete fund reciprocity between banks, so that a bank receiving and transferring out public funds may receive second funds in return from banks other than the banks receiving the public funds from the bank. In one embodiment, regardless of which banks provide the second deposits, the total of the second deposits going back to the bank sending out the first deposits may be set to equal the total of the first deposits or some lesser or greater negotiated amount, for example, a percentage of the first deposits.

As shown in FIG. 4, the exchange between the banks 40-48 may take place with an intermediary, such as an intermediary bank or intermediary agent 50 (each arrow in FIG. 4 represents a deposit of $100,000). The intermediary may maintain, or have maintained, an electronic database containing (1) information on each deposit, including the source and amount of the deposit, and (2) on each transfer, and the source of the funds, the recipient of the transfer and the amount. In one embodiment, the federally insured interest bearing accounts at the various banks are money market deposit accounts (MMDA), and the intermediary operates as an agent for the customers of the banks. The MMDA accounts are registered in compliance with FDIC regulations to allow pass through of FDIC insurance. The intermediary administers the operation by determining/selecting which banks are to receive funds and which banks are to send reciprocal deposits or second funds to the bank. A variety of different criteria may be used by the intermediary to select banks for the receipt or transfer of funds, such as the amount of municipal funds held thereby, the amount of funds that the bank can transfer without restriction, and an agreed minimum or maximum level of funds at a given bank. The intermediary, in one embodiment, would then ensure that the total of the second deposits from the selected banks going back to the bank sending out the first deposits may be set to equal the total of the first deposits or some lesser or greater negotiated amount, for example, a percentage of the first deposits. Note that the intermediary could use a variety of different methods for transferring funds including electronic transfer, or messenger transfer where a transfer limit is imposed by banking regulation. The two exemplary embodiments of the present invention described herein may be used alone or in conjunction with one another to allow banks to obtain an adequate profit spread on investments.

FIG. 5 is a block diagram showing a system for exchanging funds for effective investment of public deposits according to an exemplary embodiment of the present invention. The system, generally designated by reference number 100, includes a deposit receipt unit 110, a deposit transfer unit 120 and a signal generator/receiver unit 130. The deposit receipt unit 110 receives electronically, or by messenger, or by another convenient method, one or more first deposits from each of one or more customers, where the customers are public entities and the one or more first deposits are required to be federally insured or collateralized by government securities. The deposit receipt unit 110 also receives deposits from banking institutions or money center banking institutions, depending on which of the above-described investment methods are being implemented. In the case of receipt of funds of individuals or corporations from money center banking institutions, e.g., second deposits, the unit 110 records the deposit of the funds into accounts having at least a first rate of return and then invests or facilitates the investment of received second deposits in investments that have at least a second rate of return. The deposit transfer unit 120 transfers electronically, or by messenger, or by another convenient method, the first deposits to a money center banking institution or portions of the first deposits to banking institutions, once again depending on which of the above-described investment methods are being implemented. Further, depending on the investment method, the signal generator/receiver unit either sends signals to or receives signals from money center banking institutions or sends signals to or receives signals from banking institutions, where the signals relate to deposit information.

Accordingly, in one embodiment, a system is provided, either within a bank or in an intermediary, for exchanging funds to allow for effective investment of public deposits, comprising: a first deposit receipt unit 110 for receiving one or more first deposits from each of one or more customers, where the one or more customers are public entities and the one or more first deposits are required to be federally insured or collateralized by government securities. The system in this embodiment further comprises a deposit transfer unit 120 for transferring at least a portion of the one or more first deposits to a money center banking institution. The system further comprises a signal generator 130 for generating and sending first electronic signals relating to information on the at least a portion of the one or more first deposits to the money center banking institution. The system also includes a second deposit receipt unit 110 for receiving one or more second deposits from the money center banking institution, where the one or more second deposits are at least in part covered by federal deposit insurance; and a signal receiver 130 for receiving second electronic signals relating to information on the one or more second deposits from the money center banking institution.

In a yet further embodiment, a system is provided for exchanging funds to allow for effective investment of public deposits, comprising a first deposit receipt unit 110 for receiving one or more first deposits from each of one or more customers, where the one or more customers are public entities and the one or more first deposits are required to be federally insured or collateralized by government securities. The system in this embodiment further comprises a deposit transfer unit 120 for transferring one or more portions of the one or more first deposits to a corresponding one of one or more banking institutions. The system also includes a signal generator 130 for generating and sending first electronic signals to each of the one or more banking institutions relating to information on the one or more portions of the one or more first deposits to the one or more banking institutions. The system also comprises a second deposit receipt unit 110 for receiving at least one second deposit from at least one of the one or more banking institutions, the second deposit received from the at least one of the one more banking institutions being equal or lesser or greater in amount to the one or more portions transferred into each of the one or more banking institutions; and a signal receiver for receiving second electronic signals relating to information on the second deposit from the one or more banking institutions.

Note that one or more processors may be used to implement the units 110, 120 and 130. Also, an electronic database 140 is maintained to record: (1) information about each of the received deposits in unit 110, including the source of the deposits, amounts, account data and any investment data, and (2) information about the transfers by unit 110, including amounts and account data.

It should be noted that in a preferred embodiment of the invention, the sending bank that transfers the first deposits and the receiving banks that transfer the second deposits could all be local banks. It should also be noted that in one embodiment, all of the second deposits are federally insured.

Embodiments within the scope of the present invention include program products comprising machine-readable media for carrying or having machine-executable instructions or data structures stored thereon. Such machine-readable media can be any available media which can be accessed by a general purpose or special purpose computer or other machine with a processor. By way of example, such machine-readable media can comprise RAM, ROM, EPROM, EEPROM, CD-ROM or other optical disk storage, magnetic disk storage or other magnetic storage devices, or any other medium which can be used to carry or store desired program code in the form of machine-executable instructions or data structures and which can be accessed by a general purpose or special purpose computer or other machine with a processor. When information is transferred or provided over a network or another communications connection (either hardwired, wireless, or a combination of hardwired or wireless) to a machine, the machine properly views the connection as a machine-readable medium. Combinations of the above are also included within the scope of machine-readable media. Machine-executable instructions comprise, for example, instructions and data which cause a general purpose computer, special purpose computer, or special purpose processing machines to perform a certain function or group of functions.

Embodiments of the invention have been described in the general context of method steps which may be implemented in one embodiment by a program product including machine-executable instructions, such as program code, for example in the form of program modules executed by machines in networked environments. Generally, program modules include routines, programs, objects, components, data structures, etc. that perform particular tasks or implement particular abstract data types. Machine-executable instructions, associated data structures, and program modules represent examples of program code for executing steps of the methods disclosed herein. The particular sequence of such executable instructions or associated data structures represent examples of corresponding acts for implementing the functions described in such steps.

Embodiments of the present invention may be practiced in a networked environment using logical connections to one or more remote computers having processors. Logical connections may include a local area network (LAN) and a wide area network (WAN) that are presented here by way of example and not limitation. Such networking environments are commonplace in office-wide or enterprise-wide computer networks, intranets and the Internet and may use a wide variety of different communication protocols. Those skilled in the art will appreciate that such network computing environments will typically encompass many types of computer system configurations, including personal computers, hand-held devices, multi-processor systems, microprocessor-based or programmable consumer electronics, network PCs, minicomputers, mainframe computers, and the like. Embodiments of the invention may also be practiced in distributed computing environments where tasks are performed by local and remote processing devices that are linked (either by hardwired links, wireless links, or by a combination of hardwired or wireless links) through a communications network. In a distributed computing environment, program modules may be located in both local and remote memory storage devices.

An exemplary system for implementing the overall system or portions of the invention might include a general purpose computing device in the form of a computer, including a processing unit, a system memory, and a system bus that couples various system components including the system memory to the processing unit. The system memory may include read only memory (ROM) and random access memory (RAM). The computer may also include a magnetic hard disk drive for reading from and writing to a magnetic hard disk, a magnetic disk drive for reading from or writing to a removable magnetic disk, and an optical disk drive for reading from or writing to a removable optical disk such as a CD-ROM or other optical media. The drives and their associated machine-readable media provide nonvolatile storage of machine-executable instructions, data structures, program modules and other data for the computer.

While this invention has been described in conjunction with the exemplary embodiments outlined above, it is evident that many alternatives, modifications and variations will be apparent to those skilled in the art. Accordingly, the exemplary embodiments of the invention, as set forth above, are intended to be illustrative, not limiting. Various changes may be made without departing from the spirit and scope of the invention. 

What is claimed is:
 1. A method, comprising: (A) accessing, using one or more computers, one or more electronic databases, stored on one or more computers-readable media, the one or more databases comprising: (1) aggregated account information for a plurality of government backed-insured and interest-bearing aggregated deposit accounts held in a plurality of financial institutions participating in a program, wherein funds from client accounts of a plurality of clients are aggregated with funds of other client accounts in the aggregated deposit accounts held in the financial institutions, with the aggregated deposit accounts providing non-penalized liquidity for the funds held therein; (2) client account information for funds, for each of a plurality of respective client accounts, held in one or more of the plurality of the financial institutions, comprising a respective balance of funds, of the respective client account, held in each of one or more of the aggregated deposit accounts holding funds of the respective client account; and (B) obtaining into the one or more computers, transfer data comprising an amount of governmental funds of one or more of the client accounts sourced for the program from a first one of the financial institutions, that are to be deposited in one or more other of the financial institutions; (C) allocating the amount of governmental funds sourced from the first financial institution, using the one or more computers, to one or more of a first set of the financial institutions other than the first financial institution, for deposit in one or more aggregated deposit accounts held therein, based at least in part on obtaining government backed deposit insurance and/or collateralization by government securities for the funds; (D) allocating, using the one or more computers, to the first financial institution for the one or more aggregated deposit accounts held therein, an amount of funds from one or more of a second set of the financial institutions other than the first financial institution, so that an amount of funds sourced from the second set of the financial institutions and held in the first financial institution is approximately equal to or greater than the amount of the governmental funds sourced from the first financial institution; (E) generating and communicating data comprising one or more amounts for one or more instructions, using the one or more computers and a network communication link, to transfer funds between or among two or more of the financial institutions based at least in part on one or more of the allocating steps; and (F) using the one or more computers, to update at least data for the aggregated account information for one or more of the aggregated deposit accounts taking into consideration at least the amounts from the steps (C), (D) and/or (E), and to update data for one or more respective balances of funds for one or more of the respective client accounts held in each of one or more of the aggregated deposit accounts holding funds of the respective client account taking into consideration at least the amounts from the allocating steps (C) and (D), in one or more of the electronic databases.
 2. The method of claim 1, wherein the steps of the claim are performed by an intermediary.
 3. The method of claim 2, wherein the one or more of the first set of the financial institutions are the same as the one or more of the second set of the financial institutions.
 4. The method of claim 2, wherein the one or more of the first set of the financial institutions are different from the one or more of the second set of the financial institutions.
 5. The method of claim 2, wherein the one or more of the first set of the financial institutions overlap with the one or more of the second set of the financial institutions.
 6. The method of claim 1, wherein a total of the funds allocated to the first financial institution comprises a predetermined percentage of the amount sourced from the first financial institution.
 7. The method of claim 1, further comprising allocating, using the one or more computers, respective amounts held in the one or more from the second set of the financial institutions of multiple of the respective client accounts with funds therein to the first financial institution to substantially match the amount allocated to the first financial institution in the allocating step (D), wherein respective amounts from the respective client accounts allocated to the first financial institution are less than or equal to a maximum amount eligible for federal deposit insurance.
 8. The method of claim 1, further comprising allocating, using the one or more computers, respective amounts held in the one or more from the second set of the financial institutions of multiple of the respective client accounts with funds therein to the first financial institution to substantially match the amount allocated to the first financial institution in the allocating step (D), wherein only client accounts with respective balances less than or equal to a threshold amount are allocated.
 9. The method of claim 1, further comprising allocating, using the one or more computers, respective amounts held in the one or more from the second set of the financial institutions of multiple of the respective client accounts with funds therein to the first financial institution to substantially match the amount allocated to the first financial institution in the allocating step (D), wherein client accounts with respective balances greater than a threshold amount are allocated.
 10. The method as defined in claim 1, further comprising allocating respective balances of the respective client accounts among the financial institutions to substantially match the amounts allocated in allocating steps (C) and (D).
 11. The method as defined in claim 1, wherein the governmental funds are from one or more accounts of one or more public entities.
 12. The method as defined in claim 1, wherein one or more of the financial institutions is a credit union.
 13. The method as defined in claim 1, wherein one or more of the financial institutions is a bank.
 14. The method of claim 1, wherein the allocating to the first financial institution step comprises allocating one or more amounts from the one or more from the second set of financial institutions to the first financial institution so that a total of the-amounts held in the first financial institution sourced from other of the financial institutions is greater than the amount of the governmental funds sourced from the first financial institution and held in one or more of the other of the financial institutions.
 15. The method of claim 1, wherein the allocating to the first financial institution step comprises allocating one or more amounts from the one or more from the second set of financial institutions to the first financial institution so that a total of amounts held in the first financial institution sourced from other of the financial institutions is substantially equal to the amount of the governmental funds sourced from the first financial institution and held in one or more of the other of the financial institutions.
 16. the method of claim 1, wherein the one or more instructions to transfer funds between or among one or more of the financial institutions in the generating and communicating data step permit an unlimited number of withdrawals in a month from a limited number of the financial institutions.
 17. The method as defined in claim 1, further comprising: obtaining, from a communication link and the one or more computers, for each of multiple client accounts, data for deposits/transfers to and/or withdrawals/transfers from the respective client account, said data comprising transaction data for one or more deposits/transfers for the respective client account and/or data for one or more withdrawals/transfers from the respective client account, and/or a net thereof; allocating, by the one or more computers, the clients' deposits/transfers and/or withdrawals/transfers and/or nets thereof to one or more of the aggregated deposit accounts; obtaining a respective net amount, by the one or more computers, for each of multiple of the respective aggregated deposit accounts, the respective net amount comprising the client deposits/transfers to and/or withdrawals/transfers from the client accounts allocated to the respective aggregated deposit account, on a regular basis.
 18. The method as defined in claim 1, wherein the generating and communicating data for one or more instructions step to transfer funds causes at least one aggregated deposit account to have more than six withdrawals/transfers in a month.
 19. The method as defined in claim 1, wherein the step (C) of allocating to the one or more from the first set of the financial institutions comprises selecting one or more of the financial institutions from the first set based at least in part on one or more first criteria.
 20. The method of claim 19, wherein one of the one or more first criteria for selecting the one or more from the first set of the financial institutions comprises an amount of government securities held in the respective financial institution.
 21. The method as defined in claim 19, wherein one of the one or more first criteria for allocating to the one or more from the first set of the financial institutions to receive at least a portion of the amount sourced from the first financial institution is based at least in part on an amount of municipal funds held at the respective financial institution.
 22. The method as defined in claim 19, wherein one of the first criteria for selecting the one or more from the first set of the financial institutions is based at least in part on an amount of funds the respective financial institution can transfer without restriction.
 23. The method as defined in claim 19, wherein one of the first criteria for selecting the one or more from the first set of the financial institutions is based at least in part on an amount of governmental funds to be held in the respective financial institution.
 24. The method as defined in claim 19, wherein one of the first criteria for selecting the one or more from the first set of the financial institutions is based at least in part on a maximum level of funds in the program to be held at the respective financial institution.
 25. The method as defined in claim 19, wherein one of the first criteria for selecting the one or more from the first set of the financial institutions is based at least in part on a minimum level of funds in the program to be held at the respective financial institution.
 26. The method as defined in claim 19, wherein one of the first criteria for selecting the one or more from the first set of the financial institutions is to maintain for at least one of the financial institutions a partial or complete reciprocity between sourced funds from the respective one financial institution and funds allocated to the respective one financial institution.
 27. The method as defined in claim 1, wherein the step (D) comprises allocating, using the one or more computers, to the first financial institution for the one or more aggregated deposit accounts held therein, an amount of funds from the one or more from the second set of the financial institutions, so that an amount of funds sourced from one or more of the second set of the financial institutions and held in the first financial institution is equal to or greater than the amount of the governmental funds sourced from the first financial institution.
 28. The method of claim 1, wherein the one or more of the first set of the financial institutions are the same as the one or more of the second set of the financial institutions.
 29. The method of claim 1, wherein the one or more of the first set of the financial institutions are different from the one or more of the second set of the financial institutions.
 30. The method of claim 1, wherein the one or more of the first set of the financial institutions overlap with the one or more of the second set of the financial institutions.
 31. A system, comprising: one or more computers comprising memory wherein the memory stores computer- readable instructions comprising program code that, when executed, cause the one or more computers to perform the steps: (A) accessing, using the one or more computers, one or more electronic databases, stored on one or more computers-readable media, the one or more databases comprising: (1) aggregated account information for a plurality of government backed-insured and interest-bearing aggregated deposit accounts held in a plurality of financial institutions participating in a program, wherein funds from client accounts of a plurality of clients are aggregated with funds of other client accounts in the aggregated deposit accounts held in the financial institutions, with the aggregated deposit accounts providing non-penalized liquidity for the funds held therein; (2) client account information for funds, for each of a plurality of respective client accounts, held in one or more of the plurality of the financial institutions, comprising a respective balance of funds, of the respective client account, held in each of one or more of the aggregated deposit accounts holding funds of the respective client account; and (B) obtaining into the one or more computers, transfer data comprising an amount of governmental funds of one or more of the client accounts sourced for the program from a first one of the financial institutions, that are to be deposited in one or more other of the financial institutions; (C) allocating the amount of governmental funds sourced from the first financial institution, using the one or more computers, to one or more of a first set of the financial institutions other than the first financial institution, for deposit in one or more aggregated deposit accounts held therein, based at least in part on obtaining government backed deposit insurance and/or collateralization by government securities for the funds; (D) allocating, using the one or more computers, to the first financial institution for the one or more aggregated deposit accounts held therein, an amount of funds from one or more of a second set of the financial institutions other than the first financial institution, so that an amount of funds sourced from the second set of the financial institutions and held in the first financial institution is approximately equal to or greater than the amount of the governmental funds sourced from the first financial institution; (E) generating and communicating data comprising one or more amounts for one or more instructions, using the one or more computers and a network communication link, to transfer funds between or among two or more of the financial institutions based at least in part on one or more of the allocating steps; and (F) using the one or more computers, to update at least data for the aggregated account information for one or more of the aggregated deposit accounts taking into consideration at least the amounts from the steps (C), (D) and/or (E), and to update data for one or more respective balances of funds for one or more of the respective client accounts held in each of one or more of the aggregated deposit accounts holding funds of the respective client account taking into consideration at least the amounts from the allocating steps (C) and (D), in one or more of the electronic databases. 